Volkswagen Truck & Bus continues upward trend in the first six months

• More than 89,000 trucks and buses sold in the first six months of 2016 (+3 percent)
• Truck sales in Western Europe up 15 percent

Braunschweig, July 21, 2016 — Volkswagen Truck & Bus has sold 89,640 trucks and buses in the first three months of 2016, up 3 percent on the prior-year level.

During the first six months, MAN Truck & Bus sold 39,700 units (+4 percent compared with the prior-year period) and Scania 40,310 units (+9 percent). The developments in South America continued to be a challenge. MAN Latin America sold 10,130 vehicles from the Volkswagen Caminhões e Ônibus and MAN brands, down 19 percent as against the first six months of 2015. All brands of Volkswagen Truck & Bus GmbH increased their unit sales in the second quarter as against the previous quarter; the Group posted an overall increase of 14 percent.

In the first six months, Volkswagen Truck & Bus recorded an increase in sales of 4 percent, which equals the sale of 82,070 trucks. The development of the markets continued to vary by region: the Western European markets showed a positive development with a sales increase of 15 percent. Especially France, Italy and the United Kingdom stepped up their game. Unit sales in Central and Eastern Europe also saw a significant increase. The persistently difficult economic and political situation prompted a decrease in unit sales in Russia. In Brazil, truck sales declined by 19 percent in the first six months. This was due to the continued difficult macroeconomic environment and more difficult financing conditions.

Volkswagen Truck & Bus sold 7,570 units in the first six months in the bus business, down 6 percent as against the previous year.

"Thanks to strong demand in Europe and a highly competitive range of vehicles, we have succeeded in increasing our unit sales in the first six months. We are also optimistic for the next six months. We are very pleased with the current development at the Volkswagen Truck & Bus Group. We tackle important issues together, implement quickly and remain firmly focused on our goals: to become the Global Champion within the next decade," said Andreas Renschler, CEO of Volkswagen Truck & Bus GmbH and Member of the Board of Management of Volkswagen AG.

MAN Truck & Bus is more actively involved in shaping the digital transformation of the commercial vehicles industry: in May, the company went one important step further to becoming a service provider of intelligent transportation solutions by investing in the U.S. start-up FR8. In Silicon Valley, California, FR8 is developing a uniform IT platform for shippers, transportation companies and drivers. Volkswagen Truck and Bus will transfer the insights they gain in the U.S. to business models in Europe.

Despite the difficult environment, MAN Latin America inched up its sales by 17 percent compared with the previous quarter with its Caminhões e Ônibus and MAN brands. The initiative to strengthen the dealer networks in Brazil and the export markets and to expand the product portfolio achieved first results.

In June, electrified trucks from Scania went into the testing phase on a two-kilometer test track in Sweden. An overhead wire supplies electric power at all times. Scania is planning to expand its Scania Maintenance service with the addition of another feature. In addition to its mileage-based service, Scania is now introducing the option to have vehicles serviced on flexible maintenance plans. Thanks to continuously monitoring and assessing the operating data, vehicles can now be called in for service when maintenance is needed. This will help to minimize unplanned visits to the workshop and ensure that preventive maintenance can be carried out in time. This helps to avoid vehicle downtimes. The option of flexible maintenance schedules will be available in all European markets by the end of 2016.

After its start-up period last year, Volkswagen Truck & Bus is firmly on track for the second half of 2016. Thanks to the realignment of its truck and bus brands, Volkswagen Truck & Bus GmbH managed to decouple the truck processes from those for passenger cars. The commercial vehicle brands have already increased their collaboration significantly. Volkswagen Truck & Bus’s matrix organization is paying off as planned: areas such as development, finance, HR or procurement are now organized as cross-divisional functions. Synergies in procurement, in particular, have by now saved around EUR 200 million per annum. But this is not the only area where we can see progress: in June, employees of the holding relocated to the new company headquarters in Braunschweig.

Volkswagen Truck & Bus GmbH is a wholly-owned subsidiary of Volkswagen AG and is a global leader in commercial vehicles with its MAN, Scania and Volkswagen Caminhões e Ônibus brands. In 2016, the brands of Volkswagen Truck & Bus sold a total of 184,000 vehicles. Its product range includes light-, medium- and heavy-duty trucks as well as vans and buses that are manufactured at 25 sites in 17 countries. As of December 31, 2016, the company employed 77,000 people at all commercial vehicle brands worldwide. The Group is committed to driving transportation to the next level – in terms of products, services and as a partner for its customers.